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Added to YB: 2022-05-27

Pitch date: 2022-05-26

SODI [bullish]

Solitron Devices, Inc.

Author Info

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Company Info

Solitron Devices, Inc. designs, develops, manufactures, and markets solid-state semiconductor components and related devices primarily for the military and aerospace markets in the United States, Canada, Latin America, Europe, and Australia.

Market Cap

$49.5M

Pitch Price

N/A

Price Target

8.00

Dividend

N/A

EV/EBITDA

56.72

P/E

1.8K

EV/Sales

3.33

Sector

Semiconductors and Semiconductor Equipment

Category

turnaround

Show full summary:
Very undervalued company with a market cap of $20M

SODI: Defense chip maker w/ 85% custom products for Raytheon/Boeing/Lockheed, high barriers to entry & mission-critical MOAT. Post-turnaround: rev $7M→$11M, 50% growth, 25% ROE. New facility saves $1M/yr. Silicon Carbide expansion ($2.5B market, $1.2M sales). $5.2M cash, $2.8M debt, $19.3M mkt cap. Conservative est: $3M net profit = 6.3x P/E (3.9x ex-cash). 2025 target $15M rev, $6M op profit = 3x P/E. Risks: 50% Raytheon concentration, OTC illiquidity. CEO owns 13%, strong capital allocation.

Read full article (7 min)